Published on: 2014-06-17T17:47:53+00:00
The email conversation revolves around the idea of incentivizing full nodes in the Bitcoin network. The proposal suggests implementing a reward system based on transaction fees or coin age, but concerns are raised about potential perverse incentives and the possibility of a network split between capitalist and socialist nodes. One solution proposed by Justus Ranvier is to have multiple independent transport networks for Bitcoin, such as ipv4, ipv6, Tor, and native_i2p, with information propagating across all of them through multihomed hosts acting as bridges.There is also discussion about the potential perverse incentives that may arise from paying for goods and services with Bitcoin through individual transactions rather than consolidated ones. However, it is argued that payment can be based on coin age or fees regardless of the number of transactions made, mitigating this concern.Justus Ranvier proposes a solution to limit the number of lottery tickets acquired by individuals in proof-of-work or proof-of-stake systems. This involves nodes competing with their peers in terms of relevancy, established by delivering newly-seen transactions first. Micropayment channels would handle payments between nodes, with well-connected nodes being net recipients of payments and low-uptime nodes being net payers. Price signals would match supply and demand, but concerns are raised about the incentives this may create for greater consumption of bandwidth and storage.Another proposal is brought up by Odinn Cyberguerrilla, suggesting a feature that would process small change and tiny transaction outputs to user-specified donation targets. Individuals running full nodes and donating would be entered into a decentralizing lottery, complementing the existing block reward system for miners. This aims to incentivize more individuals to run full nodes and reduce node loss over time.In addition, the falling number of nodes in the Bitcoin network is discussed as a concern. It is suggested that instead of incentivizing nodes with money, the focus should be on moving chain upload onto specialized "archival nodes" that could potentially charge for their services. Microdonations are also proposed as a way to incentivize giving, with participants running full nodes being entered into a decentralizing lottery and provided with incentives in the form of small to large bitcoin amounts.Overall, these proposals aim to address the issue of incentivizing individuals to run full nodes, increase node participation, and encourage giving to the Bitcoin network.
Updated on: 2023-08-01T09:33:59.167138+00:00